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Tag: Elizabeth Holmes

  • Elizabeth Holmes Handed an 11-Year Prison Sentence

    Elizabeth Holmes, founder and former CEO of Theranos, has been sentenced to more than 11 years in prison.

    Holmes was found guilty of fraud over her role in her company’s unsubstantiated claims. The case gained widespread attention, with some critics afraid it would establish a precedent of company founders being prosecuted any time their companies fail to deliver.

    Prosecutors were seeking a 15-year sentence, along with $800 million in restitution. In contrast, Holmes’ attorneys argued that she should be sentenced to a maximum of 18 months. According to CNBC, however, U.S. District Court Judge Edward Davila sentenced the former exec to 135 months.

    “I loved Theranos. It was my life’s work,” Holmes said. “My team meant the world to me. I am devastated by my failings. I’m so so sorry. I gave everything I had to build my company.”

  • Prosecutors Seek 15-Year Sentence and $800M in Elizabeth Holmes Case

    Prosecutors Seek 15-Year Sentence and $800M in Elizabeth Holmes Case

    Prosecutors are seeking a 15-year sentence and $800 million in restitution in their case against Theranos founder Elizabeth Holmes.

    Holmes was found guilty of multiple counts of fraud after Theranos failed to deliver on Holmes’ promise. The case sent shockwaves through Silicon Valley, with some experts warning it could open a much larger door to executives being prosecuted anytime their companies don’t deliver.

    With the sentencing phase of the case now in full swing, prosecutors want Holmes sentenced to 15 years in prison, according to The Guardian. They also want her to pay $800 million in restitution. Holmes could face a maximum of 20 years.

    Holmes’ attorney is arguing that the former exec should not receive any jail time.

    “Ms Holmes is no danger to the public,” Holmes’s lawyer said in the court documents. “She has no criminal history, has a perfect pretrial services compliance record, and is described by the people who know her repeatedly as a gentle and loving person who tries to do the right thing.”

    “Ms Holmes will never be able to seek another job or meet a new friend without the negative caricature acting as a barrier,” her lawyers argued.

    Concerned citizens have written the court in favor of Holmes, including none other than New Jersey senator Cory Booker.

    “In the years since, I’ve always been struck by the way our conversations focused on her desires to make a positive impact on the world,” Booker wrote. “I still believe that she holds on to the hope that she can make contributions to the lives of others, and that she can, despite mistakes, make the world a better place.”

  • Elizabeth Holmes Ask for a New Trial

    Elizabeth Holmes Ask for a New Trial

    Theranos founder and CEO Elizabeth Holmes is asking for a new trial based on a change of heart by a key witness for the prosecution.

    Elizabeth Holmes was found guilty of fraud when her company failed to deliver what she had promised investors. According to Gizmodo, Holmes is now requesting a new trial, saying lab director Adam Rosendorff regretted his testimony and claimed “the government made things seem worse than they were.”

    Holmes has already been denied an appeal on the guilty verdicts, so it remains to be seen if this request will fair any better.

    The Holmes verdict was a controversial one, with some experts warning that it set a dangerous precedent for entrepreneurs and could make it difficult for them to attract investors or market their companies without fear of criminal charges if the company fails.

    While a new trial seems like a long shot, it could help clear some of the ethical questions raised by the first one.

  • Elizabeth Holmes Found Guilty, Experts Worry About Precedent

    Elizabeth Holmes Found Guilty, Experts Worry About Precedent

    Former Theranos CEO Elizabeth Holmes has been found guilty of fraud in a decision that some experts believe sets a chilling precedent.

    Holmes was once the star of Silicon Valley, with some likening her to Steve Jobs. Her medical company promised breakthroughs, wowed investors, and gained widespread support.

    Unfortunately, Theranos never delivered on Holmes’ promise, and the ex-CEO was accused of defrauding investors and indicted on multiple charges. After a week of deliberation, the jury found her guilty of three counts of wire fraud, as well as one count of conspiracy to commit fraud. The jury was split on three additional charges, with Holmes acquitted of the remaining four.

    Some experts are worried that the guilty verdict sets a dangerous precedent, one that will have many entrepreneurs afraid to market their companies, or attract investors.

    “This is an absurd verdict. Any startup founder who believed that their technology wasn’t there yet but had faith that it ultimately would be should be very nervous tonight,” Esquire Digital’s chief legal analyst, Aron Solomon, told WPN. “The narrative here shows that the jury failed to understand startup culture and what founders do as a matter of course. Ultimately, the jury is saying that they believe that a young woman who started her company as a 19 year-old college dropout had the power to deceive some of the most successful investors in the world. This simply doesn’t hold the weight of reason.”